Nu (NU) Q2 2025 earnings summary

Executive summary

• Achieved strong growth in Q2 2025, with customer base reaching 122.7 million and revenues of $3.7 billion, up 40% year-over-year FX-neutral, and net income rising to $637 million, the highest quarterly result to date.

• Expanded product suite and cross-sell strategy led to growth across mass market, high income, and small business segments in Brazil, Mexico, and Colombia.

• Maintained robust capital and liquidity positions, supporting continued growth and resilience.

• Significant management hires, including new executive leadership, to drive innovation, long-term strategy, and international expansion.

• Continued strong performance in Brazil, with over 107 million customers and 60% adult population penetration; Mexico surpassed 12 million customers.

Financial highlights

• Gross profit reached $1.55 billion, with gross margin between 40.6% and 42%, and efficiency ratio at 28.3% due to RSU and marketing expenses.

• Net interest income hit a record $2.1 billion, up 33% year-over-year, and net interest margin up 80 bps sequentially.

• Deposits grew 41% year-over-year to $36.6 billion; total credit portfolio expanded 40% to $27.3 billion.

• Adjusted net income for Q2'25 was $694.5 million, up from $562.5 million in Q2'24.

• Loan originations hit a record $3.6 billion, up 43% year-over-year.

Outlook and guidance

• Expects further margin expansion as liquidity is reallocated and funding costs decrease in Mexico and Colombia.

• Management anticipates continued strong growth in unsecured lending and credit card portfolios, with new credit models rolling out.

• Efficiency ratio expected to decline over coming years, supporting sustainable profitability.

• Focus remains on scaling efficiently while maintaining strong earnings and operational discipline.

• Confident in long-term opportunity in Mexico, focusing on disciplined execution and value creation.